Journalists reveal 40% drop in valuation of flagship a16z crypto fund

Launched in 2018 by venture firm Andreessen Horowitz, the cryptocurrency investment fund posted a 40% negative revaluation in the first half of the year, according to people familiar with the matter cited by The Wall Street Journal.

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By the end of 2021 the fund had delivered returns to its investors 10.6 times the initial investment since inception.

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In the bear market, in the third quarter the firm invested in only nine startups. By contrast, in the fourth quarter of 2021 there were 26.

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The fund became the fourth at a16z. In total the firm has raised more than $7.6 billion for these purposes — $2.2 billion in the third and $965 million in the first two.

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In April, Andreessen Horowitz opened a division for research into cryptocurrencies and other Web3-related technologies. Later, company specialists stated that the industry is in the middle of the fourth price–innovation cycle.

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Earlier, Messari and Dove Metrics analysts estimated the funding volume for blockchain startups in January–June 2022 at $30.3 billion.

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